Rep. Norm Thurston — Voting Record

Bill

Number

H.B. 430 First Substitute (2015GS)

Sponsor

Rep. Froerer, G.

Final action

House/ filed 3/12/2015

Outcome

Failed / filed without passage

Summary

What it does

• This bill:
• requires the approval of the Infrastructure and General Government Appropriations Subcommittee and the Legislative Management Committee before:
• the Division of Facilities Construction and Management may lease the state fair park to the Utah State Fair Corporation; and
• the Utah State Fair Corporation may sublease the state fair park for 10 years or more; and
• makes technical changes.

Every vote on this bill

Bill text

FAIRPARK LEASING AUTHORIZATION REVISIONS
GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Gage Froerer
Senate Sponsor: 
____________
LONG TITLE
General Description:
This bill modifies provisions related to leasing of the state fair park.
Highlighted Provisions:
This bill:
▸ requires the approval of the Infrastructure and General Government Appropriations
Subcommittee and the Legislative Management Committee before:
• the Division of Facilities Construction and Management may lease the state fair
park to the Utah State Fair Corporation; and
• the Utah State Fair Corporation may sublease the state fair park for 10 years or
more; and
▸ makes technical changes.
Money Appropriated in this Bill:
None
Other Special Clauses:
None
Utah Code Sections Affected:
AMENDS:
63A-5-306
, as last amended by Laws of Utah 2011, Chapter 370
63H-6-103
, as last amended by Laws of Utah 2012, Chapters 20 and 347
Be it enacted by the Legislature of the state of Utah:
Section 1. Section 
63A-5-306
 is amended to read:
63A-5-306.
Leasing of state fair park -- Lease -- Terms -- Demolition of facilities
-- Limits on debt or obligations.
(1) As used in this section:
(a) "Corporation" means the Utah State Fair Corporation created in Section 
63H-6-103
.
(b) "Division" means the Division of Facilities Construction and Management.
(c) "State fair park" means the property and buildings owned by the state located at 155
North 1000 West, Salt Lake City, Utah.
(2) The division:
(a) may lease the state fair park to the corporation for a period not to exceed 50 years:
(i) subject to the corporation satisfying the requirements of Subsection (5)(b)(i); and
(ii) except that on June 30, 2017, that portion of the state fair park known as the White
Ball Field located on the south side of North Temple Street shall revert to the division and not
be a part of any continuing lease agreement between the division and the corporation, unless
otherwise agreed upon by the division and the corporation prior to June 30, 2017;
(b) shall ensure that any lease entered into under Subsection (2)(a):
(i) defines which party is responsible for repairs and maintenance to the grounds and
buildings;
(ii) defines any restrictions on the use of the property or buildings, including the
construction of any new buildings or facilities at the state fair park;
(iii) requires that for each year under the lease the corporation holds a state fair meeting
the requirements of Subsection 
63H-6-103
(5)(a)(vi); and
(iv) provides for the renegotiation or termination of the lease if the corporation:
(A) no longer operates as an independent public nonprofit corporation as provided in
Title 63H, Chapter 6, Utah State Fair Corporation Act; or
(B) engages in any activity inconsistent with Title 63H, Chapter 6, Utah State Fair
Corporation Act;
(c) may:
(i) require that any lease entered into under Subsection (2)(a) grants the division the
right to unilaterally terminate the lease at its discretion; and
(ii) provide a process to determine compensation, if any, the division shall pay the
corporation for termination of the lease under Subsection (2)(c)(i); and
(d) if the lease described in Subsection (2)(a) is amended or renewed after the effective
date of this act and except as provided in Subsection (3), shall require the corporation under the
lease to:
(i) 
provide notice and
 obtain the approval of the State Building Board
, the
Infrastructure and General Government Appropriations Subcommittee, and the Legislative
Management Committee
 before demolishing a facility at the state fair park; and
(ii) include the approval requirement described in Subsection (2)(d)(i) in any sublease
entered into, renewed, or amended after the effective date of this act.
(3) (a) The approval required under Subsection (2)(d) does not apply to a facility
demolished in accordance with a contract entered into but not amended before the effective
date of this act.
(b) Notwithstanding Subsection (3)(a), before a facility described in Subsection (3)(a)
is demolished, the corporation shall notify the division concerning any demolishing of the
facility.
(4) The State Building Board shall notify the state historic preservation office of any
State Building Board meeting at which consideration will be given to a proposal to demolish
facilities at the state fair park.
(5) (a) Notwithstanding Subsection (2), the division may review and adjust the amount
of any payments made by the corporation under the lease every three years beginning July 1,
2000.
(b) (i) The division may lease the state fair park to the corporation for a period not to
exceed 50 years, if the corporation
:
(A) provides notice and obtains the approval of the Infrastructure and General
Government Appropriations Subcommittee and the Legislative Management Committee; and
(B)
 demonstrates to the satisfaction of the division that the lease period will result in
significant capital improvements at the state fair park by a private or public entity.
(ii) The corporation may enter into a sublease of up to 50 years, [
subject to satisfying
]
if the corporation:
(A) satisfies
 the requirements of Subsections (2)(d)(i) and (5)(b)(i)[
.
]
; and
(B) for a sublease of 10 years or more, provides notice and obtains the approval of the
Infrastructure and General Government Appropriations Subcommittee and the Legislative
Management Committee.
(6) The state shall assume the responsibilities of the corporation under any contract that
is in effect on the day a lease between the division and the corporation terminates if:
(a) the contract is for the lease or construction of a building or facility at the state park;
and
(b) the lease between the division and the corporation is terminated in accordance with
Subsection (2)(b)(iv).
(7) (a) Payments made by the corporation under a lease with the division shall be
deposited into the Capital Project Fund.
(b) If, in accordance with Subsection (5), the payments made by the corporation under
a lease with the division are increased from the amount paid on July 1, 1997, the lease
payments made by the division shall be dedicated to capital improvements at the state fair park
unless, as part of the capital budget, the Legislature directs that the money be used for other
capital improvements.
(8) (a) A debt or obligation contracted by the corporation is a debt or obligation of the
corporation.
(b) The state is not liable for and assumes no legal or moral responsibility for any debt
or obligation described in Subsection (8)(a), unless the Legislature through statute or an
appropriation act specifically:
(i) authorizes the corporation to contract for that debt or obligation; and
(ii) accepts liability for or assumes responsibility for the debt or obligation.
Section 2. Section 
63H-6-103
 is amended to read:
63H-6-103.
Utah State Fair Corporation -- Legal status -- Powers.
(1) There is created an independent public nonprofit corporation known as the "Utah
State Fair Corporation."
(2) The board shall file articles of incorporation for the corporation with the Division
of Corporations and Commercial Code.
(3) The corporation, subject to this chapter, has all powers and authority permitted
nonprofit corporations by law.
(4) The corporation shall, subject to approval of the board:
(a) have general management, supervision, and control over all activities relating to the
state fair and have charge of all state expositions except as otherwise provided by statute;
(b) for public entertainment, displays, and exhibits or similar events:
(i) provide, sponsor, or arrange the events;
(ii) publicize and promote the events; and
(iii) secure funds to cover the cost of the exhibits from:
(A) private contributions;
(B) public appropriations;
(C) admission charges; and
(D) other lawful means;
(c) establish the time, place, and purpose of state expositions; and
(d) acquire and designate exposition sites.
(5) (a) The corporation shall:
(i) use generally accepted accounting principles in accounting for its assets, liabilities,
and operations;
(ii) seek corporate sponsorships for the state fair park and for individual buildings or
facilities within the fair park;
(iii) work with county and municipal governments, the Salt Lake Convention and
Visitor's Bureau, the Utah Travel Council, and other entities to develop and promote
expositions and the use of the state fair park;
(iv) develop and maintain a marketing program to promote expositions and the use of
the state fair park;
(v) in cooperation with the Division of Facilities Construction and Management,
maintain the physical appearance and structural integrity of the state fair park and the buildings
located at the state fair park;
(vi) hold an annual exhibition that:
(A) is called the state fair or a similar name;
(B) includes expositions of livestock, poultry, agricultural, domestic science,
horticultural, floricultural, mineral, and industrial products, manufactured articles, and
domestic animals that, in the corporation's opinion will best stimulate agricultural, industrial,
artistic, and educational pursuits and the sharing of talents among the people of Utah;
(C) includes the award of premiums for the best specimens of the exhibited articles and
animals;
(D) permits competition by livestock exhibited by citizens of other states and territories
of the United States; and
(E) is arranged according to plans approved by the board;
(vii) fix the conditions of entry to the exposition described in Subsection (5)(a)(vi); and
(viii) publish a list of premiums that will be awarded at the exhibition described in
Subsection (5)(a)(vi) for the best specimens of exhibited articles and animals.
(b) In addition to the state fair to be held in accordance with Subsection (5)(a)(vi), the
corporation may hold other exhibitions of livestock, poultry, agricultural, domestic science,
horticultural, floricultural, mineral, and industrial products, manufactured articles, and
domestic animals that, in its opinion, will best stimulate agricultural, industrial, artistic, and
educational pursuits and the sharing of talents among the people of Utah.
(6) The corporation may:
(a) employ advisers, consultants, and agents, including financial experts and
independent legal counsel, and fix their compensation;
(b) (i) participate in the state's Risk Management Fund created under Section
63A-4-201
; or
(ii) procure insurance against any loss in connection with its property and other assets,
including mortgage loans;
(c) receive and accept aid or contributions of money, property, labor, or other things of
value from any source, including any grants or appropriations from any department, agency, or
instrumentality of the United States or Utah;
(d) hold, use, loan, grant, and apply that aid and those contributions to carry out the
purposes of the corporation, subject to the conditions, if any, upon which the aid and
contributions were made;
(e) enter into management agreements with any person or entity for the performance of
its functions or powers;
(f) establish whatever accounts and procedures as necessary to budget, receive, and
disburse, account for, and audit all funds received, appropriated, or generated;
(g) 
subject to the provisions of Section 
63A-5-306
,
 enter into agreements for the
leasing of any of the facilities at the state fair park, if approved by the board; and
(h) sponsor events as approved by the board.
(7) (a) Except as provided in Subsection (7)(c), as an independent agency of Utah, the
corporation is exempt from:
(i) Title 51, Chapter 5, Funds Consolidation Act;
(ii) Title 51, Chapter 7, State Money Management Act;
(iii) Title 63A, Utah Administrative Services Code;
(iv) Title 63G, Chapter 6a, Utah Procurement Code;
(v) Title 63J, Chapter 1, Budgetary Procedures Act; and
(vi) Title 67, Chapter 19, Utah State Personnel Management Act.
(b) The board shall adopt policies parallel to and consistent with:
(i) Title 51, Chapter 5, Funds Consolidation Act;
(ii) Title 51, Chapter 7, State Money Management Act;
(iii) Title 63A, Utah Administrative Services Code;
(iv) Title 63G, Chapter 6a, Utah Procurement Code; and
(v) Title 63J, Chapter 1, Budgetary Procedures Act.
(c) The corporation shall comply with the legislative approval requirements for new
facilities established in Subsection 
63A-5-104
(3).
Legislative Review Note
 as of 2-26-15 10:49 AM
Office of Legislative Research and General Counsel